Kookmin Bank (ADR) (NYSE:KB)

The Company provides credit and related financial services to individuals and small and medium-sized enterprises. On the deposit side, it provides deposit products and related services to both individuals and enterprises of all sizes.

This is an OK company trading at a ridiculously low price (below book value as of Friday'sclose). Current price makes sense only if the company is in imminent risk of collapse; but while there is some reason for pessimism, there doesn't seem to be any justification for *this* level of pessimism.

The importance of this company in Korea would be difficult to overestimate. It is difficult to imagine any government simply allowing KB to collapse. This is not to say that it's "too big to fail," but it is unlikely that failure would occur unless accompanied by a general collapse of the Korean financial sector -- which does not appear, currently, to be on the horizon.

I really wish I had found this stock a month ago. It's gone from being retardedly undervalued, to just undervalued. I feel Korea is still cheap, and this is a great play based on the low P/E, forward P/E and PEG ratios.

KB is down today on the collapse of their deal to by KEB, but their fundamental situation (48% market share in Korea) remains el primo in a growing market and their plans to expand internationally should strengthen the franchise with or without KEB (which they could bid for again if LoneStar decides to put it on the market again which is likely if the Korean prosecutors ever get bored of chasing their tails on LoneStar's acquisition of KEB three years ago).